Regulations job-performace bonuses

as decreed by the Executive Board on 8 February 2013

For a special performance, an employee may receive a bonus from the employer. The bonus consists of a gross amount. 

Article 1 Job-performance bonuses

The employer can grant a bonus due to circumstances or facts which in its opinion give rise to that, for instance job performances which significantly exceed that which may be expected of the employee by virtue of the hours of work and job specification in comparison to the efforts of similar employees.

Article 2 Procedure for the granting of a job-performance bonus

  1. The employee’s supervisor files a reasoned request for a bonus with the dean of the faculty or the director of a cluster or service.
  2. The dean of the faculty or the director of a cluster or service decides whether or not the bonus will be granted and also determines the amount of the bonus. To this end, the dean/director will seek advice from the Personnel Department.
  3. The Executive Board may decide to grant a bonus to a dean of a faculty or director of a cluster or service.
  4. The decision to grant a bonus may be taken immediately after an employee performed work of a special or exceptional nature or after the annual appraisal interview with an employee.

Article 3

These regulations shall come into effect as of 8 February 2013.

Explanation

According to Article 3.20, paragraph 1, of the Collective Labour Agreement of the Dutch Universities (CAO NU), the employer can grant a bonus due to circumstances or facts which in its opinion give rise to that, for instance job performances which significantly exceed that which may be expected of the employee by virtue of the hours of work and job specification in comparison to the efforts of similar employees. According to the second paragraph of this Article, the employer should, in consultation with local employees’ organisations, lay down further rules with regard to the granting of bonuses. With regard to the granting of job-performance bonuses, the procedure followed is of primary importance. No comprehensive bonus scheme can be implemented, because it is impossible to determine in advance what the amount of a bonus for a specific performance should be. Furthermore, it is undesirable to lay down in advance which performances qualify for a bonus and which do not.

The job-performance bonus can be used to quickly respond to an employee’s special commitment or performance, which does not warrant a salary increase or allowance. A bonus may be granted for various reasons, for example for an occasional extra effort to complete a project on time. This extra effort or commitment is of a temporary nature.

In addition to the job-performance bonus, the CAO NU mentions other tools for differentiating between remunerations. The most common ones are individual salary increase and merit pay.